PBOC Injects 398.5 Billion Yuan via 7-Day Repos as It Holds Rate at 1.40%
Updated
Updated · Crypto Briefing · Jul 20
PBOC Injects 398.5 Billion Yuan via 7-Day Repos as It Holds Rate at 1.40%
3 articles · Updated · Crypto Briefing · Jul 20
Summary
398.5 billion yuan entered China’s financial system through 7-day reverse repos, extending the PBOC’s latest effort to keep liquidity ample as the economy softens.
The central bank left the 7-day reverse repo rate unchanged at 1.40%, where it has stood since a cut in May 2025, signaling no near-term retreat from accommodative policy.
Reverse repos provide weeklong cash to commercial banks against government-bond collateral, giving the PBOC a short-term tool to steady funding conditions.
Recent operations show sustained support: the PBOC injected 662.5 billion yuan on June 23, 300 billion yuan through a new overnight facility on June 29, and 236.5 billion yuan on July 14.
The new overnight reverse repo tool, launched at 1.25%, gives policymakers finer day-to-day control over liquidity alongside the longer-standing 7-day operations.